Showing posts with label fintech scene. Show all posts
Showing posts with label fintech scene. Show all posts

Tuesday, August 13, 2024

BillEase: The BNPL Dynamo Lighting Up the Philippine Fintech Scene

 


In the bustling world of fintech, one name is making waves: BillEase. This Philippine-based BNPL (Buy Now, Pay Later) and consumer finance startup has not only achieved profitability in 2023 but has also set a new benchmark for growth and innovation in the industry.


A Turnaround Tale

From a net loss of US$342,364 in 2022 to a net profit of US$5.95 million in 2023, BillEase’s financial journey is nothing short of spectacular. The parent company, Jin Chan Invest, reported a 75% surge in revenues, reaching US$55.29 million. This remarkable growth is a testament to the company’s robust strategy and execution.


Customer and Merchant Boom

By May 2023, BillEase had amassed a customer base of 1.3 million, with over 400,000 new users joining in that year alone. The number of merchants utilizing BillEase’s services more than tripled, skyrocketing from over 3,000 in 2022 to more than 10,000 in 2023. This explosive growth in both customers and merchants underscores the platform’s appeal and reliability.


Diverse Revenue Streams

BillEase’s revenue streams are as diverse as they are lucrative. The company generated US$42.7 million in interest income, US$10.57 million in loan processing fees, and US$2.02 million from penalties on loans receivable. This diversified income model has been pivotal in driving the company’s profitability.


Rising Costs and Strategic Investments

Despite its strong financial performance, BillEase faced a significant increase in operating expenses. Administrative and other operating costs grew by 40% to US$36.3 million, largely due to a 77% rise in bad debt expenses, which totaled US$22.7 million. The company also allocated US$5.82 million to cover potential losses from accounts receivables and incurred US$2.87 million in taxes and licenses. Interest expenses on borrowings surged nearly fourfold to US$5.37 million.


Financial Backing and Future Plans

BillEase’s growth has been bolstered by key financial partners, including Singapore-based fintech lender Helicap and London’s automated lending platform Lendable. In the fourth quarter of 2022, BillEase secured US$20 million in debt facilities from both Helicap and Lendable. Earlier, it raised US$11 million in a Series B funding round led by Burda Principal Investments. In April 2024, the company obtained an additional US$5 million from Saison Investment Management Private Limited.


As of the end of 2023, BillEase’s cash and cash equivalents stood at US$7.56 million, a 2.7x increase from the previous year. The company reported total assets of US$65.16 million and liabilities of US$58.70 million. Positive operating cash flow before changes in working capital was recorded at US$44.51 million.


Innovative Future

Looking ahead, BillEase plans to introduce new features such as QRPH for in-store payments and NFC (tap-and-go) capabilities. CEO Georg Steiger also mentioned that the company is exploring further equity funding opportunities to enhance its balance sheet and drive future growth.


Wrapping Up

BillEase’s journey from a loss-making entity to a profitable powerhouse is a story of strategic vision, robust execution, and relentless innovation. As it continues to expand its customer base and merchant partnerships, BillEase is poised to remain a dominant player in the Philippine fintech landscape.


Stay tuned in Your Ledger, because BillEase is just getting started.

Saturday, August 10, 2024

WFIS 2024: FinTech Investors Mark Your Calendars on August 13 -14, 2024!

The World Financial Innovation Series (WFIS) is set to ignite the fintech scene at the Manila Marriott Hotel. 🚀


The Philippines’ Fintech Boom

Fueled by the dynamic synergy between government and private sectors, the Philippines’ fintech landscape is on a meteoric rise. Thanks to visionary policymakers and the nation’s digital transformation, fintech adoption is projected to hit 72% of the population by 2024.


Investor Confidence and Market Penetration

The $344 million raised in 2022 underscores the burgeoning investor confidence in the region. With 867 active fintech applications and 74% of Filipinos owning smartphones, the stage is set for exponential growth.


Strategic Initiatives Driving Growth

Key initiatives like the National Strategy for Financial Inclusion 2022-2028, Digital Payments Transformation Roadmap 2020-2023, and the Open Finance Framework are spearheaded by the Central Bank of the Philippines (BSP). These efforts are further bolstered by the digitalization of crucial government agencies, including the Bureau of Internal Revenue (BIR) and the Bureau of Customs (BOC).


WFIS 2024: A Gateway to Innovation

WFIS 2024 will host over 600 technology and business leaders from top banks, insurance firms, and micro-finance institutions across the country. This event is your direct gateway to the Philippines’ Financial Services Industry (FSI).


Quick Insights on the Philippine FSI Market:

✅️ 72%:       Projected fintech adoption rate in 2024

✅️ $344M:  Fintech funding raised in 2022

✅️ 74%:       Percentage of Filipinos owning smartphones


Ready to lead the fintech revolution? For interested parties, please tap Delegate Registration.

Keep on rolling with 'Your Ledger'—your go-to source for the latest insights and trends in fintech.

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